ASML posts record $13 billion quarter, plans capacity expansion

ASML reported a record quarter of about $13 billion and said it will expand production capacity as demand for lithography equipment rises. Customers are reportedly placing orders for advanced tools years in advance, and AI-driven chip demand is straining capacity even with planned expansions.

Why it matters: ASML is the sole supplier of EUV lithography machines, so its order book is a leading indicator for how much leading-edge chip capacity can exist. Multi-year advance ordering suggests AI chip supply constraints will persist beyond the near term, reinforcing the memory and foundry pricing pressure seen elsewhere this year.